Chapter 8, Problem 1AFE

After the closing entries have been posted, all temporary accounts should have ____.   Select one: a. either a debit or credit balance b. a zero balance c. a debit balance d. a credit balance

Assuming the following accounts and their normal balances are shown after all adjusting journal entries were made and posted. Create the Post-Closing Trial Balance that would result, after all closing journal entries were made and posted. When listing accounts for each category, you are to insert them in the order in which they are listed here. If used, type in the account names exactly as written here.

Journalizing and posting closing entries is a required step in the accounting cycle. Discuss why it is necessary to close the books at the end of an accounting period. If closing entries were not made, how would the preparation of financial statements be affected?

Which of the following best distinguishes adjusting entries from closing entries? a. In adjusting entries, debits must equal credits; in closing entries, debits should be greater than credits. b. Adjusting entries happen before preparing financial statements; closing entries occur after preparing financial statements. c. Closing entries cannot be journalized using information technology, while adjusting entries can. d. Adjusting entries involve only balance sheet accounts; closing entries involve only income statement accounts

From the following list of steps in the accounting cycle, identify what two steps are missing:a. Transactions are analyzed and recorded in the journal.b. Transactions are posted to the ledger.c. An unadjusted trial balance is prepared.d. An optional end-of-period spreadsheet is prepared.e. Adjusting entries are journalized and posted to the ledger.f. An adjusted trial balance is prepared.g. Financial statements are prepared.h. A post-closing trial balance is prepared.

From the following list of steps in the accounting cycle, identify what two steps are missing: Transactions are analyzed and recorded in the journal. An unadjusted trial balance is prepared. Adjustment data are assembled and analyzed. An optional end-of-period spreadsheet is prepared. Adjusting entries are journalized and posted to the ledger. An adjusted trial balance is prepared. Closing entries are journalized and posted to the ledger. A post-closing trial balance is prepared. Select the steps in the accounting cycle in their proper order in order and include the two missing steps.

-Prepare the closing entries -Post the entries to the T accounts

Using the information in the attached pictures, prepare the CLOSING ENTRIES. To close the income account :                            To close the expense account :                         To close the income summary account:  To close the drawing account:   POST CLOSING TRIAL BALANCE

Which of these is the first step in the closing process?(a) Close revenue account(s). (c) Close the Income Summary account.(b) Close expense accounts. (d) Close the drawing account.